Conventional direct sales models pay commissions based on a percentage of the purchases made by individuals within a member's network. The more products sold within a member's network, the higher the commissions paid to the member. A member's network grows when the member adds direct recruits to the network. Also, the member's network grows when other members within his or her network recruit new members.
A conventional direct sales network therefore has multiple levels. Recruits of recruits are two levels away from the member. Individuals recruited by members two levels away are three levels away from the member, and so forth. Because purchases made anywhere within the network drive additional commissions for the member, members have an incentive to help their recruits sell product and to help their recruits recruit new individuals into the network. But in order to maintain the sustainability of a conventional direct sales model, the member is paid a lower percentage of the purchases made at levels far away from the member.